Nvidia lager looks the worst day in a decade as more than half of analysts cut price targets on krypto chip hangover
Nvidia Corps's share was on its way for its worst nightfall on decades Friday when more than half of the analysts covering the shares beat their price targets after the chip maker surprised investors with worse than expected inventory issues for their former generation game chips.
Nvidia
NVDA, -18.82%
shares dropped to an intraday low of $ 161.61, lasting over 17% at $ 167.25 in heavy trading, and down at over 13 % for the year. A close level at today's level will be the lowest closing price for the stock price since September 8, 201[ads1]7. The last time the shares had a worse one-off percentage decline on July 3, 2008, when the chip maker offered a disappointing sales outlook.
At noon, over 30 million shares had changed hands compared to the 52-week average daily volume of 12.9 million shares. By comparison, the PHLX Semiconductor Index
SOX, -1.00%
was down 1.6% Friday, the S & P 500 Index
SPX, + 0.25%
was below 0.1% and the technologically heavy Nasdaq Composite Index
COMP, -0.24%
was down 0.5%.
On Thursday, Nvidia's third quarter and fourth quarter results were far from Wall Street estimates because the company reported having trouble clearing up inventory of its older generation Pascal architecture game after the release of the newer Turing chip. Earlier this quarter, Nvidia launched its next generation of Turing chips for professionals and players.
The company blamed the inventory problem at the passage of the cryptokurrency mining, where miners would buy game boards and associate them with mining facilities to generate crypto curves like bitcoin
